So I swapped by Nvidia GTX580 for a ATI 7970 today. Uninstalled the Nvidia software and installed the Catalyst 12.4 software.

Everything is working great except in Spiral Knights there is some strange texture or transparency problem. If I turn on "compatibility mode" then it goes away, but I lose all the nice textures as well. I've linked a screenshot of what I'm seeing.

I've tried uninstalling all the drivers and reinstalled, but nothing has helped. I've tried setting up a Profile in Catalyst disabling the features in there or forcing to accept the application settings for javaw.exe in the proper directory, and that has not helped.

I've validated and actually deleted local cache and redownloaded the game as well.

http://steamcommunity.com/id/jaerin/screenshot/541800729603121292

Any ideas what else I can try?